NephroGenex (NRX) slides 21.5% to a record low after the company says it entered into a definitive agreement to sell securities in a private placement for gross proceeds of approximately $5.5 million before deducting offering expenses payable by the company. The closing of the offering is expected to occur on or about November 6.

It will sell 2,156,863 shares at $2.55 per share. The purchasers will also receive warrants to purchase up to 1,617,647 shares at an exercise price of $3.56 per share, warrants to purchase up to 2,156,863 shares at an exercise price of $3.56 per share, warrants to purchase up to 2,156,863 shares of common stock at an exercise price of $3.56 per share, and warrants to purchase up to 2,156,863 shares of common stock at an exercise price of $3.56 per share.

The Series A Warrants are not exercisable until six months after the date of the closing and have a term of five years. The Series B Warrants are not exercisable until six months after the date of the closing and have a term of 12 months. The Series C Warrants are not exercisable until six months after the date of the closing and have a term of 18 months. The Series D Warrants are not exercisable until six months after the date of the closing and have a term of eight months.